Unconscionable Conduct in Louth v Diprose (1992) - Business Law

Running head: BUSINESS LAW
Business Law
Name of the Student
Name of the University
Author Note

1BUSINESS LAW
Table of Contents
Conclusion.......................................................................................................................................2
Fact..............................................................................................................................................2
Court OutCome................................................................................................................................2
Role of the Relevant Court in The Case..........................................................................................3
Reference.........................................................................................................................................5

2BUSINESS LAW
Louth v Diprose (1992)
Conclusion
Fact
The fact of the case is Solicitor Louis Diprose is the plaintiff and Carol Mary Louth is the
defendant. The plaintiff was twice divorced person who became friends with the deafened in
Tasmania and had intercourse on two occasions. When plaintiff proposed to defendant, he was
got rejected and started to live with his three children in Adelaide. Later the defendant has told to
him that she was in depression and wants to commit suicide. She was facing some financial
problems and living with her sister’s soon-to-be-ex husband where she might be asked to leave
the house.
However, plaintiff has brought the house for the defendant for $58,000 and started a
relationship. After three years when the defendant wants to end the relationship, plaintiff has
asked to transfer the house to him but she refused and plaintiff brought a legal case against her.
Now according to the fact of the case, the issue has been found that whether the house
has given to the defendant as a gift or not? If the house was given as a gift, then what will be the
result of the unconscionable conduct?
Court OutCome
The unconscionable conduct defined in the contract law where the law of trust is
enforceable based on the obligations, which are unfairly exploiting the unequal power of the
consenting parties. According to the fact of the unconscionability, it makes the conflict with the
inequality of bargain power. Sometimes due to some area of law, it could depend on the facts of